Free Simple Commercial Lease Agreement

If you plan to make changes to the property, you should also decide which party is responsible for paying for improvements and additions to the property. In a percentage lease, landlords only collect a percentage of the turnover after the tenant has achieved a certain dollar ($) of turnover. The amount is called a breakpoint. There are two (2) types of breakpoints: natural and artificial. An artificial stop is any number on which the parties agree and does not necessarily contain calculations. On the other hand, the natural stopping point is based on the monthly rent paid to the lessor and the easy percentage as a percentage. To determine this, the landlord takes the basic monthly rent for the property and divides it by the percentage recovered. .